Kraig Biocraft Laboratories Inc. (OTCMKTS:KBLB) Stock Jumps After The News
Kraig Biocraft Laboratories Inc. (OTCMKTS:KBLB) was up 5.5%. The company has indicated that easing travel restrictions and re-opening the economy across Vietnam has reinvigorated the company as finished goods production continues using the company’s recombinant spider silk.
Market Action:
On Thursday, KBLB stock gained 5.44% at $0.0785 with more than 2.13 million shares, compared to its average volume of 1.60 million shares. The stock has moved within a range of $0.0730 – 0.0785 after opening the trade at $0.0739.
Resumes Work Producing Custom Spider Silk Yarns and Fabrics with Vietnam Re-opening
The onset of the pandemic resulted in restrictions and safety protocols in Vietnam that led to the slowdown and closures of most businesses, especially in Ha Noi and Ho Cho Minh City. Most of the restrictions didn’t affect the company’s affiliate, Prodigy Textiles, situated in Central Vietnam. The subsidiary continued with its production of specialized silkworms.
Unfortunately, the closures impacted the company and Prodigy’s employees, including lab equipment delivery delays that affected operational growth. In addition, the slowdown at its yarn spinners and weavers limited Kraig Biocraft’s ability to turn raw silk ton garments and fabrics. However, with the lifting of the restrictions, the company is ready to expedite silkworm production by installing more quality control laboratory equipment. Therefore, KBLB is worth watching.
Key Quote:
“We are pleased to see conditions in Vietnam improving for its people and its economy,” said Kraig Labs COO Jon Rice. “In the coming weeks, we expect to receive and install several pieces of lab equipment delayed due to lockdowns. This quality assurance equipment will play a key role in our continued production expansion. Most critically, with this re-opening, we can once again work with the textile mills to weave our silk into the finished fabrics for the first garments for SpydaSilk and to supply materials to the numerous other brands eager to incorporate spider silk into their products.”
Traders Note:
KBLB stock is trading below the 20-Day and 50-Day Moving averages of $0.0787 and $0.0809 respectively. Moreover, the stock is trading below 200-Day moving average of $0.1243. The stock is down 13% in the past 3-month.
